All entries for Tuesday 03 March 2009

March 03, 2009

Operations Management Lesson 3 Exercise

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At this picture I described the IBM Global Financing "Business-as-usual" process. As IBM Global Finanicng interacts directly with the customer I used blueprint method of analysis.

Sub-process: Credit check:

Credit department receives the financial documents from the sales organization. Then credit analytic perform the analysis of creditworthiness of the potential customer based on its financials and IBM credit procedures. This check is done on two levels: A/R check and Credit check. After the check the deal should be approved by the relevant level of credit department management based on their clip levels.

Output: Credit rating of the potential customer.

Analysis:

Performance objectives:

Quality

High: Credit analysis should be performed by high skilled analytic as this is critical for the corporation risk management.


Speed

Medium: Speed should not be the target but due to the business requirements credit check should be performed in competitive time frame.


Dependability

High: The overall sales process depends on the result of credit check.


Flexibility

Medium: capacity can be increased by additional highly skilled analytics


Cost

Medium: IBM uses the information provided by different rating agencies.


Process flow objectives:


As I know there is no throughput rate, work in progress or resource utilization.

The throughput time should be not more than 5 working days for the request.



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